This resolution approves a two-year extension of the lease for the Sunglass Hut store at Terminal 3, extending the lease term to June 30, 2032. It is currently pending committee action.
Resolution approving Amendment No. 4 to the Terminal 3 Boarding Area E Retail Specialty Store Lease No. 18-0233, between AirSun JV dba Sunglass Hut, and the City and County of San Francisco, acting by and through its Airport Commission, to extend the base operating term of the Lease by two years from June 30, 2030, for a total term of January 29, 2019, through June 30, 2032.
How it got here
The legislation originated from the need to extend the lease term for AirSun JV dba Sunglass Hut at San Francisco International Airport due to financial pressures from high development costs.
The Airport Commission awarded the Terminal 3 Boarding Area E Retail Specialty Store Lease to AirSun JV dba Sunglass Hut with a base term of seven years.
The Commission authorized a program to provide rent relief to concessionaires affected by the COVID-19 pandemic, which was memorialized in Amendment No. 1 to the Lease.
The Board approved Amendment No. 1 to the Lease, allowing for the implementation of the COVID-19 Emergency Rent Relief Program.
The Commission authorized a lease extension program for tenants affected by COVID-19, which was memorialized in Amendment No. 2 to the Lease.
The Board approved Amendment No. 2, extending the lease expiration date to June 30, 2030.
The Commission authorized Amendment No. 3 to lower the Minimum Annual Guarantee and change the methodology for adjustments.
The Board approved Amendment No. 3, which adjusted the Minimum Annual Guarantee for the lease.
The Commission approved Amendment No. 4 to extend the lease term by two years to June 30, 2032, to improve financial health.
Reconstructed from attached documents & the official record